SBI cuts charges for non-maintenance of minimum balance by up to 75% from April 1

The move will benefit nearly 25 crore of the bank's customers.

Public lender State Bank of India (SBI) has reduced charges for the non-maintenance of Average Monthly Balance (AMB) in savings accounts, effective April 01, 2018. The move will benefit nearly 25 crore of the bank's customers.

The charges for non-maintenance of AMB has been trimmed to Rs 15 per month plus GST from the earlier Rs 50 per month plus GST in metro and urban areas, as per a release by SBI. The minimum balance for SBI savings accounts are Rs 3,000 for accounts in the Urban and Metro areas.

In semi-urban and rural centres the charges have been trimmed from Rs 40 per month plus GST to Rs 12 and Rs 10 per month plus GST, respectively.

Below is the complete table of the revised non-maintenance of AMB charges:

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The Bank also provides the option of converting the regular savings bank account to Basic Savings Bank Account (BSBD account), free of charge. This helps customers get basic savings bank facilities without being subject to the maintenance of the AMB.

The features of BSBD accounts are available on the bank’s website bank.sbi.

Of the 41 crore savings accounts with SBI, 16 crore accounts under PMJDY / BSBD and of pensioner/minors/social security benefit holders were already exempted from the feature. Also, accounts holders under the age of 21 were exempted.

On the reduction of these charges, PK Gupta, MD – Retail and Digital Banking, SBI said, “We have reduced these charges taking into account the feedbacks and sentiments of our customers. Bank has always focused on keeping the interests of its customers first and this is one of our many efforts towards fulfilling customer expectations.”